MKTG Ch. 6-11

Creating market offerings that best serve targeted customers is called differentiation. True or False

True

Product modifications are an important source of new products for organizations. True or False

True

A firm that uses direct marketing would sell its products through ________. a) a company website b) No answer text provided. c) large wholesalers d) multiple intermediaries

a) a company website

The stage in which product ideas are presented to groups of target consumers physically or symbolically is referred to as ________. a) concept testing b) marketing strategy development c) test marketing d) concept development

a) concept testing

The new product development process usually starts with ________. a) idea generation b) concept testing c) idea screening d) concept developing

a) idea generation

________ creates a seamless cross-channel buying experience that integrates in-store, online, and mobile shopping. a) omni-channel retailing b) online marketing c) test marketing d) shopper marketing

a) omni channel retailing

________ is the sum of all the values that customers exchange for the benefits of having or using a product or service. a) price b) profit c) cost d) payroll

a) price

________ refers to the activities involved in selling products or services directly to final consumers for their personal, nonbusiness use. a) retailing b) sole sourcing c) manufacturing d) procurement

a) retailing

Unlike the other marketing mix elements, price plays a minor role in creating customer value and building customer relationships. True or False

False

Mary Kay Cosmetics and Amway sell their products through home and office sales parties, online websites, and social media. Both companies use a(n) ________ channel to distribute their offerings. a) function b) direct c) layered d) indirect

b) direct

Which of the following is an economic factor that affects the pricing decisions of a company? a) reseller policies b) interest rates c) promotional activities d) market-penetration practices

b) interest rates

Specialty stores are characterized by ________. a) the sale of convenience and staple items b) narrow product lines with deep assortments c) low prices on a wide range of goods d) a wide range of products and categories

b) narrow product lines with deep assortments

Which of the following terms best describes the process of designing and producing a container or wrapper for a product? a) branding b) packaging c) positioning d) labeling

b) packaging

A detailed version of a product idea stated in meaningful consumer terms is a ________. a) product feature b) product concept c) product framework d) product idea

b) product concept

A product is defined as anything that can be offered to a market for attention, acquisition, use, or consumption that might satisfy a want or need. True or False

True

Consumers are generally willing to make more effort than usual to buy specialty products. True or False

True

Which of the following would be considered an upstream partner in a company's supply chain? a) a firm that markets a product to consumers through social media b) a firm that buys products at wholesale cost from the company c) a firm that provides technical expertise in the production of a product d) a firm that resells a finished product and shares the net sales with the producer

c) a firm that provides technical expertise in the production of a product

________ is a set of interdependent organizations that help make a product or service of a company available for use by consumers or business users. a) a upstream channel b) a raw materials supplier c) a marketing channel d) a development channel

c) a marketing channel

Delta, an American video game manufacturer, targets teens between the ages of 13 and 18, providing free game trials and applications. The firm's marketing approach exemplifies ________ segmentation. a) gender b) geographic c) age and life-cycle d) occasion

c) age and life cycle stage

A ________ is defined as a name, term, sign, symbol, or design, or a combination of these, that identifies the maker or seller of a product or service a) patent b) prototype c) brand d) framework

c) brand

Harley-Davidson disciples share a common, deeply held attraction to the brand. Harley appeals include: freedom, independence, power, and authenticity. Harley-Davidson doesn't just sell motorcycles. It sells self-expression, lifestyles, aspirations, and dreams. This illustrates ________. a) an actual product b) complex bundling c) core customer values d) simple bundling

c) core customer values

Rent, electricity, and executive salaries that do not vary with production or sales level are referred to as ________ costs. a) breakeven b) target c) fixed d) variable

c) fixed

________ is the process of dividing a market into distinct groups of buyers who have different needs, characteristics, or behavior. a) positioning b) differentiation c) market segmentation d) mass marketing

c) market segmentation

Department stores are most likely characterized by ________. a) predatory pricing strategies b) deep assortments of luxury brands c) wide varieties of product lines d) specialty goods and services

c) wide varieties of product lines

Kevin Pinker is a freelance computer programmer who writes computer algorithms for companies such as SoftStar and BlueHill. SoftStar and BlueHill use these algorithms to make specific programs based on online market research. These programs are then sold to the online retailer, Abundon, which then sells them to individual consumers and businesses. Which of the following is a marketing intermediary in this chain? a) SoftStar b) Kevin Pinker c) Consumer d) Abundon

d) Abundon

Which of the following sets the price ceiling for a product's pricing? a) elements of the product mix b) product costs c) profit d) consumer perceptions of value

d) consumer perceptions of value

Harry's caters to the clothing needs of men, manufacturing two different lines of fashion based on the purchasing power of its customers. One product line caters to the needs of affluent, middle-aged men, and the other line targets younger, up-and-coming professionals. Harry's most likely segments the consumer market based on ________ variables. a) behavioral b) universal c) geographic d) demographic

d) demographic

________ now command about 45 percent of all retail sales in the United States. a) factory outlets b) acquisitions c) superstores d) franchises

d) franchises

________ consists of arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers. a) market targeting b) differentiation c) market segmentation d) positioning

d) positioning

A company's external sources of new product ideas include its ________. a) salespeople b) engineers c) managers d) supplies

d) suppliers